IT INVESTMENT CAN BOOST ECONOMIC GROWTH: KADIN

Jakarta, June 24 (ANTARA) - Investment in communication and information technology infrastructure facilities could help accelerate economic growth, Anindya Bakrie of the Indonesian Chamber of Commerce and Industry (Kadin) said.

"The telematics industry can help develop not only itself but also Indonesia's economic development with the application of a communication and information technology (TIK)," Bakrie, who is also Kadin deputy chairman for TIK affairs told a workshop on TIK investment and economic growth.

Through the workshop, Kadin tried to do its best to produce a road map for TIK development. The road map would be submitted to the next government for the 2009-2014 period.

"We are planning to submit the results of this workshop to the government later in August or September, after the new government has been designated," Bakrie said.

He said that TIK infrastructure facilities also needed to be built as backbone of this industry which would in the end also support the overall growth of the people's economy.

"The development of TIK facilities have big multiple effects on Indonesia's economic growth so that we hope the government would listen to the inputs that Kadin would provide," Bakrie said.

He said that the government received 0.75 percent in non-tax revenue from the TIK sector. For this purpose, Bakrie asked the government's help build infrastructure facilities in this field.

The Kadin deputy chairman hoped that all layers of the people would enjoy data-based services in less than the next five years.

The role of the private sector in this case was expected to increase although it had to face regulations and high tax.

He said that the TIK industry could develop itself. Wen the prices of all industrial products were increasing, those of TIK industries were adversely declining, which is an indication that TIK was already able to reach the people.

In order to support the development of TIK facilities, Kadin hoped that a public private partnership program would be carried out as a joint funding between Kadin's ICT fund, and the government's assistance fund from the state budget.